Peking, July 12, 6.20 p.m.
It is reported that the majority of Tuan Chi-jui's forces refuse to fight, and the Anfu partisans are in a funk. Li Shih-hao is seeking sanctuary for Tuan and desires to use the ex-German bank as such, but it is doubtful if the Legations will agree. Little Hsu and Marshal Tuan have a train prepared for flight to Kalgan.
Tsao Ju-lin and Fu Liang-tso are imploring the President to issue a mandate forbidding a conflict in order to save Anfu, whose retreat to Tientsin is cut off by Tsao Kun's troops.
General Wu Pei-fu's troops have arrived at Chochow and have' their outposts at Liuliho. They have met With no serious resistance, and popular sympathy is all with Wu Pei-fu.
The police are preparing to protect the capital against Tuan Chi-jui's retreating soldiery. The merchants are refusing to accept the notes of native banks financed by Anfu officials:
The British Legation has prohibited further observation flights by British airmen on behalf of Marshal Tuan.
Tuan Chi-kuei and Hsu Shu-tseng are both at the front.
Breaches or Nevrratity.
Tsao Kun has made a strong protest to the Diplomatic Body against violations of international agreements by Italians and Japanese. He mentions that Italians have supplied a trainload of ammunition and three guns violation of the embargo, and that the Japanese have also' supplied ammunition.
He complains of Japanese loans as a violation of the Consortium agreement, and the use of the Frontier Defence Army for internal warfare as a violation of the Japanese loan contract.
Text read from the printed page and cleaned; old type leaves the occasional error.